Comporium Selects Occam Networks' Broadband Loop Carrier System.

Business Editors/High-Tech Writers

SANTA BARBARA, Calif.--(BUSINESS WIRE)--Jan. 13, 2003

BLC System Allows 20th Largest U.S. Incumbent Local Exchange

Carrier to Avoid Further Costly Expenditures in ATM, SONET Gear

Occam Networks Inc. (OTCBB:OCCM), a supplier of innovative Ethernet and IP-based loop carrier equipment to telecommunications companies worldwide, today announced that Comporium Communications, the 20th largest incumbent local exchange carrier in the United States, has selected Occam's innovative Broadband Loop Carrier (BLC) system to deliver high-speed broadband services.

The Rock Hill, S.C.-based independent telephone company and Multiple Systems Operator (MSO) has been deploying digital subscriber line (DSL) services for several years, but the selection of Occam equipment signals the adoption of a standards-based technology that will operate over a fiber-based Internet Protocol (IP) network that does not require asynchronous transfer mode (ATM) switching.

"While the MSO side of our business has done well in delivering high-speed cable modem services, many of our business customers perceive DSL as an absolute requirement," said Dan Smith, vice president of engineering and planning for Comporium. "Deploying Occam's BLCs provides Comporium with a more cost efficient and expedient solution for serving all types of customers, including some residential subscribers who strongly prefer DSL. In many cases, these are either telecommuters or employees of high-tech companies within and around our service area."

The Occam product positions Comporium to offer future services over its telephone network as an alternative to investing in the traditionally high costs associated with rebuilding or upgrading a hybrid fiber coax (HFC) cable system. Comporium will immediately deploy Occam's BLCs, which include the unique Ethernet Protection Switching (EPS) technology, over its access network. With EPS, Comporium can deliver services with the cost efficiency of standard Ethernet while providing the SONET-like reliability required in the public switched telephone network (PSTN).

"Telephone companies everywhere are searching for effective ways to improve their levels of service and 'future-proofing' their networks," said Russ Sharer, vice president of marketing at Occam Networks. "Deploying the BLC platform saves Comporium from having to purchase more ATM or SONET equipment while assuring that their customers continue to receive the highest quality service and network features."

About Comporium

The Comporium group of companies, based in Rock Hill, S.C., provides a full spectrum of telecommunications and related services, including local telephone, long distance, wireless, cable TV, Internet, security, data services and directory publishing to residential and commercial customers. Please visit www.comporium.com for more information.

About Occam Networks

Occam Networks Inc. develops and markets a suite of Broadband Loop Carriers, innovative Ethernet- and IP-based loop carrier platforms that enable telecommunications service providers to profitably deliver a variety of traditional as well as packetized voice, broadband and Internet Protocol (IP) services from a single, converged, all-packet access network. Occam is headquartered in Santa Barbara, Calif. Additional information can be found at www.occamnetworks.com.

Portions of this press release may contain forward-looking statements regarding future events or the future performance of Occam Networks. Forward-looking statements involve risks and uncertainties, which could cause actual results to differ materially from any future performance suggested in such statements. Rapidly changing technologies and market conditions may require changes to Occam's products. Occam does not undertake any obligation to publicly update any forward-looking statements as a result of new information, future events or otherwise. Please also refer to the company's most recent quarterly report on Form 10-Q, annual report on Form 10-K and other filings with the SEC, including the S-4 registration statement filed in connection with the company's recent merger. These filings contain and identify other important factors that could cause actual results to differ materially from those contained in any forward-looking statements.